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IMF President: CBDC can replace cash and there is still a lot of room for innovation

International Monetary Fund (IMF) Managing Director Kristalina Georgieva said that the public sector should continue to prepare for the deployment of central bank digital currencies and related payment platforms in the future. Georgieva said: "We have not yet landed. There is still a lot of room for innovation, and there is also a lot of uncertainty about use cases. CBDCs can replace cash because the cost of distribution in island economies is high. They can provide flexibility for more developed economies. In places where few people have bank accounts, they can improve financial inclusion." She also said: "CBDCs will provide a secure, low-cost alternative to (cash). They will also bridge the gap between private funds and the standards that measure their value, just like cash we can withdraw from banks today." The IMF pointed out that more than 100 countries are exploring CBDCs, accounting for about 60% of the world's countries. (CNBC)

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